It sounds like she has no credit; as opposed to "just not very much credit." meaning she doesn't have a credit card; or if she does she has never carried a balance. The bank's offer of 11% is on par with her having a chequing account for many years, and never had an issue.
The 29%- yes that is for people with horrible credit.
Has she already bought the car and signed the agreement? If so, she may still have a huge penalty to get out of it. While I agree it is very high; I know back when my credit sucked having a high interest loan was better than not having a car. Those plans exist for a reason; it's unfortunate that your friend didn't shop around before she signed.
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